Repay Holdings Corporation

Good afternoon. I'd like to welcome everyone to Repay Holdings Corporation's second quarter 2026 earnings call. This call is being recorded August 10th, 2026. I'd like to turn the session over to Stewart Grisante, Head of Investor Relations at Repay. Stewart, you may begin.

Thank you. Good afternoon and welcome to REPAY's second quarter 2026 earnings conference call. With us today are John Morris, co-founder and chief executive officer, and Robert Houser, chief financial officer. During this call, we will be making forward-looking statements about our beliefs and estimates regarding future events and results. Those forward-looking statements are subject to risks and uncertainties, including those set forth in the SEC filing related to today's results and in our most recent Form 10-K. Actual results may differ materially from any forward-looking statements that we make today. Forward-looking statements speak only as of today, and we do not assume any obligation or intent to update them except as required by law. In an effort to provide additional information to investors, today's discussion will also reference certain non-GAAP financial measures. Reconciliations and other explanations of those non-GAAP financial measures can be found in today's press release and in the earnings supplement, each of which are available on the company's IR site. With that, I will now turn the call over to John.

Thanks, Stewart. Good afternoon, everyone, and thank you for joining us today. It has been an exciting and busy time for Repay. During the second quarter, we delivered revenue growth of 33% and achieved approximately 6% organic revenue growth, while generating $27.4 million of free cash flow, a 75% conversion. During this time, management has been focused on core growth, clients, and operational execution across the company. Our most significant corporate development this year was completing the Coober acquisition in June. We immediately began executing on the integration, building on the groundwork we had laid in the months leading up to closing. Repay is now fully positioned to be a leading consumer bill payment and communication services platform in the United States and Canada. On a performant basis, Repay essentially doubled the revenue of the company, while also now reaching over $130 billion of annualized payment volume. Repay has been the center of the client's experience in essential services and high priority payments. Historically, billers had to assemble the pieces from separate providers. We can now offer a complete end-to-end digital bill pay platform, bill design and presentment, communications, core processing, and a clearing and settlement engine across verticals and clients. In doing so, we believe Repay is the only company able to offer this full end-to-end platform for our clients. We're already seeing this in practice. In the first month of owning Cobra, executive management has been on the road, completing multiple client visits with several of our largest enterprise clients. Existing Repay and Cobra clients are actively engaged with us in expanding bill presentment, payments, and B2B capabilities. Repay clients are asking about bill design and presentment capabilities, while Cobra clients are asking about expanding their payment channels and modalities. Cobra also deepened our distribution, We now reach 352 software partners across our verticals, 54 of which came with Cobra. Improving existing integrations and expanding partners helps deepen our clients' relationships and drive new client wins into the future. During the quarter, we also welcome many new employees to repay. Matt Morrow, who joined the company in May to lead our consumer payments verticals, has been reconfigurating the consumer payment sales and operations. We also welcome Rick Watkins to our executive management team to lead CUBRA's verticals. As expected with an acquisition of this size, integration planning has been a top priority for the company, and we have hit the ground running since day one of closing CUBRA. Within the first 30 days, the integration team has reviewed, implemented, and completed the integration of CUBRA into Repay's operating structure. As a result, Repay has already realized over 4.5 million of annualized run rate synergies exiting Q2. well on our path to achieving $8 million by the end of 2026 and $20 million plus by 2028. Platform unification is off to a strong start. Several of our largest clients have volunteered as early adopters of the upgraded Kuber platform with several net new clients already live on it. Over the next 18 to 24 months, we will be executing on production readiness and a phased upgrade to optimize Kuber's clients' experience with repays, payment capabilities, and back-end RCS engine. It is vital to emphasize that the upgrades will not be allowed to impede core growth. Our sales and client service teams are deliberately insulated from the integration work so that momentum is not lost. In addition, clients have a voice in the pace of platform upgrades and our planning does not depend on any individual client moving faster than they are ready. Stepping back, our integration plan is well underway, governed tightly, and I am confident in this team's ability to execute, capture the synergies, and compound long-term value for our shareholders. Before handing the call over to Rob to go over Q2 performance in more detail, I wanted to quickly touch on the segment highlights that Repay achieved during Q2. In consumer payments, Q2 revenue increased approximately 33% year-over-year, with contributions from CUBA, while organic growth increased approximately 4%. The investments in our sales and client support teams are beginning to show meaningful progress as we continue to work on ways to automate and improve implementation processes. As we exited the quarter, several large enterprise clients in our implementations backlog went live, giving us confidence in consumer payments' ability to accelerate organic growth in the second half of the year. In addition, we continue to see enterprise clients adopting more payment channels and modalities with strong interest building in our dynamic wallet and Repay Voice AI. Repay Voice AI enhances the overall customer experience by creating dynamic conversations for billing inquiries and payments while also reducing the resource demands for our clients. We also completed a proof of concept with Stablecoin and successfully processed payments using the Stellar network. Repay's anywhere, anyway, anytime philosophy is built around giving our clients all the capabilities and payment options for customer choice. Our business payment segment had a fantastic quarter in Q2, reported revenue growth accelerating to approximately 32% year-over-year. Our AP supplier network now reaches over 731,000 vendors, representing 65% year-over-year growth. Business Payments has 108 software partners, driving the strong sales pipeline across key automotive, property management, government, and education verticals. This momentum reflects the past couple of years of expanding partnerships and deepening software integrations. In the second quarter, business payments also benefited from improving digital monetization of both new and existing volumes on total pay and from strong political media contributions ahead of the 2026 midterm elections this fall. So across repay, we saw sustained growth momentum and excitement building with both clients and partners. We are building REPAY for a scaled future and are actively deploying AI tools across every function of the organization. We're using AI-assisted engineering to accelerate platform unification and deepen connectivity with software partners without compromising quality, resulting in our ability to reallocate over 775 development hours per month. As we continue to progress on our strategic initiatives, execute on our integration plans, build client relationships, and expand our capabilities and partnerships, I am confident in our ability to drive profitable growth. We look forward to our continued execution during the second half of the year, where we are expecting to accelerate organic growth into double digits. It's an exciting time ahead for Repay, and as we continue this momentum, we are eager to share more progress at Repay's first Investor Day, which will take place in New York City on Monday, December 7th. And finally, I wanted to welcome Zach Siedek to our Board of Directors as an Independent Director. Zach is a senior partner at Parthenon Capital Partners, one of our largest long-term shareholders, and he brings more than two decades of experience investing in and advising companies across the payments and fintech industries. With that, I will now turn the call over to Rob to go over Repay's Q2 financials. Rob.